Google, AMD Push New AI Chips as Nvidia Scandal Widens

U.S. stock futures rose slightly after Wall Street's decline, driven by higher-than-expected CPI data and Nvidia's losses. S&P 500, Nasdaq, and Dow Jones indices fell 0.4%, 0.7%, and 0.3% respectively. Fed officials signaled potential rate hikes, with markets pricing in a 91% chance of a 25-basis-point increase in December. CoreWeave gained over 5% after reporting strong earnings.

Nvidia's stock dropped 4.3% Monday and 6% Tuesday after CEO Jensen Huang admitted to an affair and an independent investigation was announced. Despite Nvidia being a major holding in ETFs like VOO, QQQ, and SMH, these funds saw gains offsetting Nvidia's losses. Broadcom, a rival, rose 8.8% Monday and 3% Tuesday. The market's concentration did not lead to fragility, as gains in other stocks and sectors balanced out Nvidia's decline.

{"summary": "Samsung and Google opened preorders for their AI glasses, sparking a surge in Chinese AI glasses concept stocks. Siya Technology's P/E soared to 1,355x. Meta dominates the AI glasses market, but Samsung-Google's entry could shift competition. Global smart glasses shipments grew 127% year-on-year in the first half of 2026, with Meta holding 81.3% market share.

US President Trump reportedly knew about Nvidia CEO Jensen Huang's ties to a woman suspected of spying for China before a presidential visit to Beijing, contradicting his earlier statements. Nvidia has launched an independent probe and shares fell over 4% on Monday. According to the NYT, Trump was informed about the relationship at least twice before the trip.

NVIDIA and its CEO, Jensen Huang, are being sued by a shareholder who claims they misled investors about Huang's relationship with Alice Huang, a former Megaspeed executive suspected of espionage. The lawsuit seeks class action status for investors who bought shares between October 9 and November 8. NVIDIA had previously denied unusual connections with Megaspeed but later admitted to an affair and launched an investigation.

Microsoft briefly became the world's second-most valuable company, overtaking Nvidia amid a 6% share drop. Nvidia's CEO, Jensen Huang, is under scrutiny for a reported relationship with a Chinese businesswoman and potential foreign intelligence involvement. Nvidia's board launched an independent investigation, denying national security concerns. Microsoft shares dipped 0.4% to $543.25, while Nvidia traded at $167.11.